DeZwarteRidder schreef op 3 december 2014 16:06:
RE:Could the Bondholders put Pinetree in Receivership ??
It is inconceivable that Sheldon and the board would walk into this kind of mess unless there was some firm commitment to source the required funds from? No one can possibly be that reckless. There are no options or warrants in the money that I can see. So what has motivated the man to go on a spending spree with borrowed money? Unless he and the board have totally lost it one would have to think that a deal is in the works in order to pay off the margin by month end and return to debt covenant compliance.
Pinetrees biggest position is POET at something around 24% of the fund. It would not surprise me if one of the large companies POET is dealing with (foundry and or Synopsys) is taking an equity stake in POET as payment for the work they are currently doing on behalf of POET. If that stake is sourced from Pinetree shares as part of the deal then Pinetree gets the cash to pay back the margin and exercises the POET warrants to maintain his overweight condition in POET which after a deal was announced would have greater value and solves the debt covenant.
It is all speculation but I know that POET would love to have one of their partners take an equity stake for instant market recognition and to fund commercial development.
It just is hard to imagine Sheldon being on such a buying spree without having a firm plan in place. That would be extremely reckless by any standards and would be risking class action by the shareholders in Pinetree.
That is what I think for what it is worth.
Read more at
www.stockhouse.com/companies/bullboar...